special subscription account

Special Subscription Account

A brokerage account into which one deposits cash exclusively for buying securities to which one has a subscription privilege. A subscription privilege is a right to buy more shares in a company one already holds before the shares become available to the general public. One may open a special subscription account to take advantage of these opportunities if and when they arise.

special subscription account

A brokerage account opened for the purpose of purchasing stock issued by use of preemptive rights.